{"id":1932,"date":"2014-01-29T13:37:25","date_gmt":"2014-01-29T13:37:25","guid":{"rendered":"https:\/\/strategicsociety.org.uk\/?p=1932"},"modified":"2014-01-29T13:37:25","modified_gmt":"2014-01-29T13:37:25","slug":"saves-retirement-2-eligible-non-savers","status":"publish","type":"post","link":"https:\/\/strategicsociety.org.uk\/saves-retirement-2-eligible-non-savers\/","title":{"rendered":"Who Saves for Retirement? 2: Eligible non-savers"},"content":{"rendered":"<p><strong>New research and policy analysis on workers who reject workplace pension saving.<\/strong><!--more--><\/p>\n<p>The government&#8217;s auto-enrolment reforms to workplace pension saving, which began a rolling implementation in October 2012, seek to boost rates of participation in pension saving across the UK workforce.<\/p>\n<p>However, policymakers have always known that some workers would continue to reject workplace pension saving, even when employer contributions are available.<\/p>\n<p>To help inform policymakers seeking to minimise the rate of &#8216;opt-outs&#8217;,\u00a0this research uses detailed data from the Wealth and Assets Survey to understand why workers reject the chance to save into a workplace pension with employer contributions.<\/p>\n<p>The research was undertaken in partnership with the <strong><a href=\"https:\/\/www.iser.essex.ac.uk\">Institute for Social &amp; Economic Research<\/a><\/strong> (ISER) at the University of Essex,\u00a0and was made possible by the kind support of <strong><a href=\"http:\/\/www.pru.co.uk\">Prudential<\/a><\/strong>.<\/p>\n<p>The analysis found:<\/p>\n<ul>\n<li>Around one-in-ten workers were &#8216;eligible non-savers&#8217; who did not save into their workplace pension with employer contributions;<\/li>\n<li>The most powerful single predictor of being an eligible non-saver was being a renter, in addition to gender, age and education;<\/li>\n<li>In addition to objective characteristics, a worker&#8217;s attitudes (for example, to investing in property) and financial management (such as having money leftover at the end of the month) represented strong, independent predictors of being an &#8216;eligible non-saver&#8217;.<\/li>\n<\/ul>\n<p><span style=\"line-height: 1.5em;\">A full report of the research can be\u00a0<\/span>downloaded<span style=\"line-height: 1.5em;\">\u00a0here:\u00a0<\/span><strong style=\"line-height: 1.5em;\"><a href=\"https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2014\/01\/Who-Saves-for-Retirement-2-Eligible-Non-savers.pdf\">Who Saves for Retirement 2 Eligible Non-savers<\/a><\/strong><\/p>\n<p><strong style=\"line-height: 1.5em;\">Authors: <a href=\"https:\/\/www.iser.essex.ac.uk\/people\/markb\">Dr Mark Bryan<\/a>, Institute for Social &amp; Economic Research, University of Essex and <a href=\"https:\/\/strategicsociety.org.uk\/about\/people\/james-lloyd-director\/\">James Lloyd<\/a>, Strategic Society Centre<\/strong><\/p>\n<p><strong><a href=\"https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2014\/01\/Who-Saves-for-Retirement-2-Eligible-Non-savers.pdf\">Who Saves for Retirement 2 Eligible Non-savers<\/a><\/strong>\u00a0represents a second phase of research to\u00a0<strong><a href=\"https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/01\/Who-Saves-for-Retirement.pdf\">Who Saves for Retirement?<\/a><\/strong>, published in 2011.<\/p>\n<p><span style=\"line-height: 1.5em;\">Alongside this research, the Strategic Society Centre has published a policy discussion paper to provide accompanying policy analysis and recommendations:\u00a0<\/span><strong style=\"line-height: 1.5em;\"><a href=\"https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2014\/01\/Beyond-Auto-enrolment.pdf\">Beyond Auto-enrolment: Eligible non-savers and the opt-out opportunity<\/a><\/strong><\/p>\n<p>This report builds on the findings of <strong><a href=\"https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2014\/01\/Who-Saves-for-Retirement-2-Eligible-Non-savers.pdf\">Who Saves for Retirement 2 Eligible Non-savers<\/a><\/strong>\u00a0to explore what the government can do beyond auto-enrolment and other aspects of the post-2012 reforms to maximise participation among workplace pension opt-outs. The report proposes:<\/p>\n<ul>\n<li>Regular statements of lost contributions for those who opt-out of their workplace pension;<\/li>\n<li>Targeted financial management and advice for opt-outs identified as having poor financial management skills;<\/li>\n<li>Giving opt-outs the chance to reclaim lost employer contributions if they commit to rejoin their workplace pension and remain in it for a defined period.<\/li>\n<\/ul>\n<p>More widely, the paper argues that policymakers should not see the decision of workers to opt-out as the &#8216;end of the story&#8217;, but should use this self-defined status and growing evidence on why workers reject workplace pension schemes with employer contributions, to deploy targeted interventions that nudge workers to opting back-in.<\/p>\n<p><strong>Author: James Lloyd, Strategic Society Centre<\/strong><\/p>\n<p><span style=\"line-height: 1.5em;\">You can read about this project in the\u00a0<\/span><a style=\"line-height: 1.5em;\" href=\"http:\/\/www.express.co.uk\/finance\/personalfinance\/456666\/Warning-for-pension-opt-outs\"><strong>Daily Express<\/strong><\/a><span style=\"line-height: 1.5em;\">\u00a0and\u00a0<\/span><strong style=\"line-height: 1.5em;\"><a href=\"http:\/\/www.pensionsage.com\/pa\/Give-pension-opt-outs-lost-contribution-statements-think-tank-urges.php\">Pensions Age<\/a><\/strong><span style=\"line-height: 1.5em;\">.<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>New research and policy analysis on workers who reject workplace pension saving.<\/p>\n","protected":false},"author":2,"featured_media":1908,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_et_pb_use_builder":"","_et_pb_old_content":"","_et_gb_content_width":"","_uag_custom_page_level_css":"","footnotes":""},"categories":[8],"tags":[73],"acf":[],"uagb_featured_image_src":{"full":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-scaled.jpg",2560,1704,false],"thumbnail":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-150x150.jpg",150,150,true],"medium":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-300x200.jpg",300,200,true],"medium_large":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-768x511.jpg",768,511,true],"large":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-1024x681.jpg",1024,681,true],"1536x1536":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-1536x1022.jpg",1536,1022,true],"2048x2048":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-2048x1363.jpg",2048,1363,true],"et-pb-post-main-image":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-400x250.jpg",400,250,true],"et-pb-post-main-image-fullwidth":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-1080x675.jpg",1080,675,true],"et-pb-portfolio-image":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-400x284.jpg",400,284,true],"et-pb-portfolio-module-image":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-510x382.jpg",510,382,true],"et-pb-portfolio-image-single":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-1080x719.jpg",1080,719,true],"et-pb-gallery-module-image-portrait":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-400x516.jpg",400,516,true],"et-pb-post-main-image-fullwidth-large":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-2880x1800.jpg",2880,1800,true],"et-pb-image--responsive--desktop":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-1280x852.jpg",1082,720,true],"et-pb-image--responsive--tablet":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-980x652.jpg",828,551,true],"et-pb-image--responsive--phone":["https:\/\/strategicsociety.org.uk\/wp-content\/uploads\/2013\/12\/Beyond-Auto-enrolment-480x320.jpg",405,270,true]},"uagb_author_info":{"display_name":"Trevor Sather","author_link":"https:\/\/strategicsociety.org.uk\/author\/trevor-2\/"},"uagb_comment_info":0,"uagb_excerpt":"New research and policy analysis on workers who reject workplace pension saving.","_links":{"self":[{"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/posts\/1932"}],"collection":[{"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/comments?post=1932"}],"version-history":[{"count":0,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/posts\/1932\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/media\/1908"}],"wp:attachment":[{"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/media?parent=1932"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/categories?post=1932"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/strategicsociety.org.uk\/wp-json\/wp\/v2\/tags?post=1932"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}